Correlation Between John Hancock and Clearbridge Aggressive
Can any of the company-specific risk be diversified away by investing in both John Hancock and Clearbridge Aggressive at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining John Hancock and Clearbridge Aggressive into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between John Hancock Financial and Clearbridge Aggressive Growth, you can compare the effects of market volatilities on John Hancock and Clearbridge Aggressive and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in John Hancock with a short position of Clearbridge Aggressive. Check out your portfolio center. Please also check ongoing floating volatility patterns of John Hancock and Clearbridge Aggressive.
Diversification Opportunities for John Hancock and Clearbridge Aggressive
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between John and Clearbridge is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding John Hancock Financial and Clearbridge Aggressive Growth in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Clearbridge Aggressive and John Hancock is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on John Hancock Financial are associated (or correlated) with Clearbridge Aggressive. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Clearbridge Aggressive has no effect on the direction of John Hancock i.e., John Hancock and Clearbridge Aggressive go up and down completely randomly.
Pair Corralation between John Hancock and Clearbridge Aggressive
If you would invest 3,373 in John Hancock Financial on August 25, 2024 and sell it today you would earn a total of 522.00 from holding John Hancock Financial or generate 15.48% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
John Hancock Financial vs. Clearbridge Aggressive Growth
Performance |
| Timeline |
| John Hancock Financial |
| Clearbridge Aggressive |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
John Hancock and Clearbridge Aggressive Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with John Hancock and Clearbridge Aggressive
The main advantage of trading using opposite John Hancock and Clearbridge Aggressive positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if John Hancock position performs unexpectedly, Clearbridge Aggressive can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Clearbridge Aggressive will offset losses from the drop in Clearbridge Aggressive's long position.| John Hancock vs. Tekla Life Sciences | John Hancock vs. Tekla World Healthcare | John Hancock vs. Tekla Healthcare Opportunities | John Hancock vs. Royce Value Closed |
| Clearbridge Aggressive vs. 1919 Financial Services | Clearbridge Aggressive vs. Mesirow Financial Small | Clearbridge Aggressive vs. Davis Financial Fund | Clearbridge Aggressive vs. John Hancock Financial |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Transaction History module to view history of all your transactions and understand their impact on performance.
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